Asian Markets Update: Stocks Rise Strongly on Nasdaq Surge - TheStreet

Asian Markets Update: Stocks Rise Strongly on Nasdaq Surge

Happy days are here again, for now, for Asian tech stocks.
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TOKYO -- Asian markets got off to a robust start for the week, thanks to the 6.4% bounce in the

Nasdaq Composite

Friday, when U.S. employment data suggested that the

U.S. Federal Reserve

could hold off from further rate hikes earlier than expected.

The key

Nikkei 225

index jumped 401.73 points, or 2.4%, to 17,201.79, while the

Topix

index, which includes all shares listed on the

Tokyo Stock Exchange's

first section, gained 38.99, or 2.5%, to 1595.44. The

Jasdaq

small-cap index soared 4.06, or 4.6%, to 91.85, while the Nikkei

over-the-counter

index inched 54.30 higher, or 3.1%, to 1816.45.

With major brokerage dealers speculating that investor confidence is creeping back into the U.S. stock market, buying spread into most major electronic, telecom and Internet shares in Japan.

Sony

(SNE) - Get Report

climbed 830 yen, or 8.1%, to 11,120,

Oracle Japan

gained 3000, or 6.8%, to 47,000,

NTT DoCoMo

rose 160,000, or 5.6%, to 3.04 million, while

Fujitsu

(FJTSY)

bounced 140, or 4.4%, to 3300.

But portfolio managers who are flush with cash weren't too active today, so some traders argued it was too soon to say the Nikkei 225 index was now on its way above its key psychological resistance level of 20,000.

Softbank

was also buoyant, up 2000, or 11.1%, to 19,950 following a report that the Internet conglomerate finally cut a deal with the Japanese government to buy out the nationalized

Nippon Credit Bank

. The firm missed its deadline last week to buy NCB when final negotiations stalled, but the

Nihon Keizai Shimbun

reported Saturday that the firm had sealed the deal.

Benign U.S. jobs data also helped shares across the board in Hong Kong, with the

Hang Seng

index jumping 577.58, or 3.8%, to 15,861.68. Financial shares rose on hopes that interest rates will not rise much further, while tech shares soared on Nasdaq's gains. Rates in Hong Kong closely follow those in the U.S., because Hong Kong's currency is pegged to the U.S. dollar.

China Telecom

(CHL) - Get Report

rose HK$3.75, or 6.1%, to 65.75,

Tom.com

climbed 0.50, or 8.6%, to 6.35, while

HSBC

(HBC)

gained 2.75, or 3.2%, to 89.75.

Earlier gains in

Cheung Kong

, up 0.50 to 78.00, were erased by the end of the day, but traders say shares will rise further as the market tries to narrow the gap between the price in Cheung Kong and its affiliate

Hutchison Whampoa

(HUWHY)

, up 1.50, or 1.6%, to 96.25. Both shares also rose on talk that

China Southern Airlines

was currently trying to get the Li family, which controls Cheung Kong and nearly half of Hutchison, to take a stake in the airline.

Korea's

Kospi

index climbed 33.52, or 4.4%, to 794.21, while Taiwan's

TWSE

index rose 22.57 to 8958.21.